Pakistan reports 22-year low fiscal deficit, 3.7% growth at IMF meeting

October 14, 2026 (MLN): Pakistan has reaffirmed its commitment to economic reforms, regional integration and multilateral cooperation while highlighting improvements in fiscal management, economic growth and external stability at a regional meeting with the International Monetary Fund (IMF).

Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb addressed the Middle East, North Africa, Afghanistan and Pakistan (MENAP) meeting with the IMF Managing Director on the sidelines of the World Bank Group–IMF Annual Meetings 2026 in Bangkok, Thailand.

During the meeting, the Finance Minister highlighted Pakistan’s fiscal deficit falling to a 22-year low, three consecutive years of primary budget surpluses and economic growth reaching 3.7%.

He also pointed to foreign exchange reserves at a historic high, sufficient to cover three months of imports, strengthening the country’s capacity to withstand climate-related and regional shocks.

Muhammad Aurangzeb cited sovereign credit rating upgrades, Pakistan’s Eurobond issuance in September and the IMF staff-level agreement reached on October 7 as key indicators of the country’s economic progress.

He reiterated the government’s commitment to continuing structural reforms while ensuring targeted, budget-neutral and time-bound subsidies to support low-income households and maintain social cohesion.

Addressing broader regional challenges, the Finance Minister stressed the need to diversify energy supplies and trade routes, strengthen regional economic integration and encourage investment in logistics and food systems to improve resilience.

He also emphasized the importance of multilateralism in addressing shared economic challenges, reaffirming Pakistan’s willingness to play an active role in advancing regional cooperation.

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